Classical

Advanced Questions - Section 5

11:  

Market expansion is usually achieved by

A.

More effective use of distribution

B.

More effective use of advertising

C.

By cutting prices

D.

All of the above are suitable tactics

 
 

Option: D

Explanation :


12:  

What is meant by the 'lemon effect'?

A.

Employees who are made redundant may lack the confidence to seek other employment.

B.

Employees who are not made redundant during downsizing may be highly sought by competitors.

C.

Employees who are made redundant may be considered to be of poor quality by other potential employers.

D.

Employees who are made redundant are often highly regarded by other potential employers.

 
 

Option: C

Explanation :


13:  

Market with which of the following characteristics would generally be less competitive?

A.

High barriers to entry

B.

Lots of potential substitutes exist

C.

Strong bargaining power among buyers

D.

Strong bargaining power among suppliers

 
 

Option: A

Explanation :


14:  

Pointing out the high cost of research and development efforts for new products like prescription drugs or high technology items is among the responses marketers provide in answer to which of the following criticisms of marketing?

A.

High costs of distribution

B.

Excessive markups

C.

High advertising and promotion costs

D.

Excessive demand

 
 

Option: B

Explanation :


15:  

The depth of a product mix is measured by the average number of

A.

convenience products as compared with the number of specialty products.

B.

different product lines offered by the company.

C.

different products offered in each product line.

D.

specialty products as compared with the number of convenience products.

 
 

Option: D

Explanation :




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